Termination of agency
Termination of agency

The following Commercial guidance note provides comprehensive and up to date legal information covering:

  • Termination of agency
  • Brexit
  • Termination of agency
  • Termination by agreement or act of the parties
  • Loss of opportunity to earn commission
  • Termination by operation of law
  • Consequences of termination
  • Irrevocable agency
  • Notice to third parties

This Practice Note examines the events and situations that may bring an agency arrangement to an end and the consequences of termination of an agency on the parties involved. This Practice Note does not consider the consequences of termination of a commercial agency, for which see: Termination of commercial agency arrangements .

Brexit

Brexit: As of exit day (11 pm on 31 January 2020) the UK is no longer an EU Member State. However, in accordance with the Withdrawal Agreement, the UK has entered an implementation period, during which it continues to be subject to EU law. This has an impact on this Practice Note, including in connection with the application of the Commercial Agents (Council Directive) Regulations, SI 1993/3053. For further guidance, see: Brexit Bulletin—key updates, research tips and resources and Brexit toolkit.

Termination of agency

An agency may be terminated by:

  1. agreement of the parties

  2. other act of the parties, or

  3. operation of law

Termination by agreement or act of the parties

An agency may be terminated by the parties on agreement to do so or by either party due to acts by the other amounting to repudiation (see Practice Notes: Termination and expiry of contracts and Repudiation). Written agency agreements should set out any minimum terms and periods of notice applicable, events of breach for